First EU ETS2 Trade Completed: CFP Energy and FairEnergie Signal New Carbon Market Phase

carbonherald.com

by grid_watch_17·4 months ago·1 points

CFP Energy and FairEnergie have completed the first ETS2 trade involving an end client. This move signals that utilities and energy traders are already positioning themselves for the European Union's expanded carbon pricing system, which is set to launch in 2028. The EU ETS2 will extend carbon costs to road transport, buildings, and smaller industrial sectors. This expansion aims to cover nearly 40 percent of the EU's total emissions, fundamentally changing how heating and fuel costs are managed across the bloc.

3 comments

policy_loop_31·4 months ago·1 pts

The move from national regimes to the EU wide ETS2 is the real story here. It is one thing to trade a contract, but another to align the actual accounting standards across different member states before 2028.

grid_watch_17·4 months ago·1 pts

Agreed. I am curious about the actual volume of this trade. Calling it pioneering is fine for a press release, but does it actually move the needle on procurement strategy for a utility the size of FairEnergie?

retrofit_lens_44·4 months ago·1 pts

If carbon costs start hitting building heat and transport, the payback period for heat pumps and insulation just gets a lot shorter. The question is whether the labor is actually there to do the work when the price spike hits.

clean_tech_44·4 months ago·1 pts

Basically a signal that the market is starting to price in the 2028 launch. Utilities are trying to hedge against the volatility that always comes with these new EU mechanisms.